OWINGS MILLS, Md., Dec. 2,
2016 /PRNewswire/ -- Universal Security Instruments, Inc.
(NYSE Amex: UUU) today announced that it has filed its Quarterly
Report on Form 10-Q for the fiscal quarter ended September 30, 2016 which was not timely filed due
to unforeseen delays in the completion of the financial statements
of the Company's 50%-owned Hong Kong Joint Venture. As previously
reported, the Company had received a letter from NYSE MKT LLC (the
"Exchange") stating that the delayed filing of the Company's
Quarterly Report on Form 10-Q for the fiscal quarter ended
September 30, 2016 violated Exchange
rules and that unless prompt corrective action is taken, the
Company could be subject to delisting. The Company believes that
the filing of this Quarterly Report on Form 10-Q satisfies the
Exchange's requirements for prompt corrective action with respect
to the Company's late Quarterly Report on Form 10-Q.
For the three months ended September 30,
2016, the Company reported a 29% increase in sales to
$4,213,705 compared to sales of
$3,278,225 for the same period last
year. The Company reported a net loss of $64,066, or $0.03
per basic and diluted share, compared to a net loss of $411,302 or $0.18
per basic and diluted share for the same period last
year.
For the six months ended September 30,
2016, sales increased 19% to $7,392,312 versus $6,214,715 for the same period last year.
The Company reported a net loss of $453,745, or $0.20
per basic and diluted share, compared to a net loss of $1,188,379 or $0.51, per basic and diluted share for the
corresponding 2015 period.
"Our plan to return the Company to profitability is progressing
as we execute on our strategy of increasing sales of our new line
of sealed ionization products while reducing expenses.
The Company is continuing to develop our line of sealed battery
photo-electric smoke and combination smoke/carbon monoxide alarms,
and we expect these units to be available during the 4th
quarter of the current fiscal year," said Harvey Grossblatt CEO of
Universal Security Instruments Inc.
UNIVERSAL SECURITY INSTRUMENTS, INC. is a U.S.-based
manufacturer (through its Hong Kong Joint Venture) and distributor
of safety and security devices. Founded in 1969, the Company has an
over 40-year heritage of developing innovative and easy-to-install
products, including smoke, fire and carbon monoxide alarms.
For more information on Universal Security Instruments, visit our
website at www.universalsecurity.com.
"Safe Harbor" Statement under the Private Securities Litigation
Reform Act of 1995: Certain matters discussed in this news release
may constitute forward-looking statements within the meaning of the
federal securities laws that inherently include certain risks and
uncertainties. Actual results could differ materially from
those projected in or contemplated by the forward-looking
statements due to a number of factors, including, among other
items, our Hong Kong Joint Venture's respective ability to maintain
operating profitability, currency fluctuations, the impact of
current and future laws and governmental regulations affecting us
and our Hong Kong Joint Venture and other factors which may be
identified from time to time in our Securities and Exchange
Commission filings and other public announcements. We do not
undertake and specifically disclaim any obligation to update any
forward-looking statements to reflect occurrence of anticipated or
unanticipated events or circumstances after the date of such
statements. We will revise our outlook from time to time and
frequently will not disclose such revisions publicly.
UNIVERSAL SECURITY
INSTRUMENTS, INC.
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS – (UNAUDITED)
|
|
|
|
Three Months Ended
September 30,
|
|
2016
|
2015
|
Sales
|
$4,213,705
|
$3,278,225
|
Net loss
|
(64,066)
|
(411,302)
|
Loss per
share:
|
|
|
Basic and
diluted
|
$
(0.03)
|
$
(0.18)
|
Weighted average
number of common shares outstanding:
Basic and diluted
|
2,312,887
|
2,312,887
|
|
|
|
|
|
|
|
Six Months Ended
September 30,
|
|
2016
|
2015
|
Sales
|
$
7,392,312
|
$
6,214,715
|
Net loss
|
(453,745)
|
(1,188,379)
|
Loss per
share:
|
|
|
Basic and
diluted
|
$
(0.20)
|
$
(0.51)
|
Weighted average
number of common shares outstanding:
Basic and diluted
|
2,312,887
|
2,312,887
|
|
|
|
|
|
|
CONDENSED
CONSOLIDATED BALANCE SHEETS – (UNAUDITED)
|
|
ASSETS
|
|
|
September
30,
|
|
2016
|
2015
|
Cash
|
$
141,792
|
$
148,817
|
Accounts receivable
and amount due from factor
|
1,892,297
|
2,005,920
|
Inventory
|
4,996,042
|
4,508,651
|
Prepaid
expenses
|
211,165
|
337,509
|
TOTAL CURRENT
ASSETS
|
7,241,296
|
7,000,897
|
|
|
|
INVESTMENT IN HONG
KONG JOINT VENTURE
|
11,332,924
|
12,740,385
|
PROPERTY,
EQUIPMENT, AND INTANGIBLE ASSET – NET
|
122,998
|
157,398
|
OTHER
ASSETS
|
4,000
|
6,000
|
TOTAL
ASSETS
|
$18,701,218
|
$19,904,680
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
Line of credit -
factor
|
$
662,991
|
$1,001,007
|
Accounts
payable
|
2,290,158
|
1,311,587
|
Accrued
liabilities
|
114,686
|
148,928
|
TOTAL CURRENT
LIABILITIES
|
3,067,835
|
2,461,522
|
|
|
|
COMMITMENTS AND
CONTINGENCIES
|
-
|
-
|
SHAREHOLDERS'
EQUITY
|
|
|
Common
stock, $.01 par value per share; authorized 20,000,000
shares;
issued and outstanding 2,312,887 at September 30, 2016
and
2015
|
23,129
|
23,129
|
Additional paid-in
capital
|
12,885,841
|
12,885,841
|
Retained
earnings
|
1,996,795
|
3,399,953
|
Accumulated other
comprehensive income
|
727,618
|
1,134,235
|
TOTAL SHAREHOLDERS'
EQUITY
|
15,633,383
|
17,443,158
|
TOTAL LIABILITIES AND
SHAREHOLDERS' EQUITY
|
$18,701,218
|
$19,904,680
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/universal-security-instruments-reports-second-quarter-results-300371791.html
SOURCE Universal Security Instruments, Inc.